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Germany vs. Russia

Economy

GermanyRussia
Economy - overviewThe German economy - the fifth largest economy in the world in PPP terms and Europe's largest - is a leading exporter of machinery, vehicles, chemicals, and household equipment and benefits from a highly skilled labor force. Like its Western European neighbors, Germany faces significant demographic challenges to sustained long-term growth. Low fertility rates and declining net immigration are increasing pressure on the country's social welfare system and necessitate structural reforms. Reforms launched by the government of Chancellor Gerhard SCHROEDER (1998-2005), deemed necessary to address chronically high unemployment and low average growth, has contributed to strong growth and falling unemployment. These advances, as well as a government subsidized, reduced working hour scheme, help explain the relatively modest increase in unemployment during the 2008-09 recession - the deepest since World War II - and its decrease to 5.3% in 2013. The new German government introduced a minimum wage of $11 per hour to take effect in 2015. Stimulus and stabilization efforts initiated in 2008 and 2009 and tax cuts introduced in Chancellor Angela MERKEL's second term increased Germany's total budget deficit - including federal, state, and municipal - to 4.1% in 2010, but slower spending and higher tax revenues reduced the deficit to 0.8% in 2011 and in 2012 Germany reached a budget surplus of 0.1%. A constitutional amendment approved in 2009 limits the federal government to structural deficits of no more than 0.35% of GDP per annum as of 2016 though the target was already reached in 2012. Following the March 2011 Fukushima nuclear disaster, Chancellor Angela MERKEL announced in May 2011 that eight of the country's 17 nuclear reactors would be shut down immediately and the remaining plants would close by 2022. Germany hopes to replace nuclear power with renewable energy. Before the shutdown of the eight reactors, Germany relied on nuclear power for 23% of its electricity generating capacity and 46% of its base-load electricity production.Russia has undergone significant changes since the collapse of the Soviet Union, moving from a globally-isolated, centrally-planned economy towards a more market-based and globally-integrated economy, but stalling as a partially reformed, statist economy with a high concentration of wealth in officials' hands. Economic reforms in the 1990s privatized most industry, with notable exceptions in the energy and defense-related sectors. The protection of property rights is still weak and the private sector remains subject to heavy state interference. Russia is one of the world's leading producers of oil and natural gas and is also a top exporter of metals such as steel and primary aluminum. Russia's manufacturing sector is generally uncompetitive on world markets and is geared toward domestic consumption. Russia's reliance on commodity exports makes it vulnerable to boom and bust cycles that follow the volatile swings in global prices. The economy, which had averaged 7% growth during 1998-2008 as oil prices rose rapidly, was one of the hardest hit by the 2008-09 global economic crisis as oil prices plummeted and the foreign credits that Russian banks and firms relied on dried up. Slowly declining oil prices over the past few years and difficulty attracting foreign direct investment have contributed to a noticeable slowdown in GDP growth rates. In late 2013, the Russian Economic Development Ministry reduced its growth forecast through 2030 to an average of only 2.5% per year, down from its previous forecast of 4.0 to 4.2%. In 2014, following Russia's military intervention in Ukraine, prospects for economic growth declined further, with expections that GDP growth could drop as low as zero.
GDP (purchasing power parity)$3.227 trillion (2013 est.)
$3.211 trillion (2012 est.)
$3.182 trillion (2011 est.)
note: data are in 2013 US dollars
$2.553 trillion (2013 est.)
$2.52 trillion (2012 est.)
$2.437 trillion (2011 est.)
note: data are in 2013 US dollars
GDP - real growth rate0.5% (2013 est.)
0.9% (2012 est.)
3.4% (2011 est.)
1.3% (2013 est.)
3.4% (2012 est.)
4.3% (2011 est.)
GDP - per capita (PPP)$39,500 (2013 est.)
$39,200 (2012 est.)
$38,900 (2011 est.)
note: data are in 2013 US dollars
$18,100 (2013 est.)
$17,800 (2012 est.)
$17,100 (2011 est.)
note: data are in 2013 US dollars
GDP - composition by sectoragriculture: 0.8%
industry: 30.1%
services: 69%
(2013 est.)
agriculture: 4.2%
industry: 37.5%
services: 58.3% (2013 est.)
Population below poverty line15.5% (2010 est.)11% (2013 est.)
Household income or consumption by percentage sharelowest 10%: 3.6%
highest 10%: 24% (2000)
lowest 10%: 5.7%
highest 10%: 42.4% (2011 est.)
Inflation rate (consumer prices)1.6% (2013 est.)
2.1% (2012 est.)
6.8% (2013 est.)
5.1% (2012 est.)
Labor force44.2 million (2013 est.)75.29 million (2013 est.)
Labor force - by occupationagriculture: 1.6%
industry: 24.6%
services: 73.8%
(2011)
agriculture: 9.7%
industry: 27.8%
services: 62.5% (2012)
Unemployment rate5.3% (2013 est.)
5.5% (2012 est.)
5.8% (2013 est.)
5.5% (2012 est.)
Distribution of family income - Gini index27 (2006)
30 (1994)
42 (2012)
41.7 (2011)
Budgetrevenues: $1.626 trillion
expenditures: $1.624 trillion (2013 est.)
revenues: $439 billion
expenditures: $450.3 billion (2013 est.)
Industriesamong the world's largest and most technologically advanced producers of iron, steel, coal, cement, chemicals, machinery, vehicles, machine tools, electronics, automobiles, food and beverages, shipbuilding, textilescomplete range of mining and extractive industries producing coal, oil, gas, chemicals, and metals; all forms of machine building from rolling mills to high-performance aircraft and space vehicles; defense industries (including radar, missile production, advanced electronic components), shipbuilding; road and rail transportation equipment; communications equipment; agricultural machinery, tractors, and construction equipment; electric power generating and transmitting equipment; medical and scientific instruments; consumer durables, textiles, foodstuffs, handicrafts
Industrial production growth rate-0.3% (2013 est.)0.1% (2013 est.)
Agriculture - productspotatoes, wheat, barley, sugar beets, fruit, cabbages; milk products; cattle, pigs, poultrygrain, sugar beets, sunflower seeds, vegetables, fruits; beef, milk
Exports$1.493 trillion (2013 est.)
$1.46 trillion (2012 est.)
$515 billion (2013 est.)
$528 billion (2012 est.)
Exports - commoditiesmotor vehicles, machinery, chemicals, computer and electronic products, electrical equipment, pharmaceuticals, metals, transport equipment, foodstuffs, textiles, rubber and plastic productspetroleum and petroleum products, natural gas, metals, wood and wood products, chemicals, and a wide variety of civilian and military manufactures
Exports - partnersFrance 9.21%, United States 7.85%, United Kingdom 6.53%, Netherlands 6.33%, China 5.91%, Italy 5.05%, Austria 5.03%, Switzerland 4.3%, Belgium 4.04% (2013 est.)Netherlands 14.6%, China 6.8%, Germany 6.8%, Italy 6.2%, Turkey 5.2%, Ukraine 5.2%, Belarus 4.7% (2012 est.)
Imports$1.233 trillion (2013 est.)
$1.222 trillion (2012 est.)
$341 billion (2013 est.)
$335.7 billion (2012 est.)
Imports - commoditiesmachinery, data processing equipment, vehicles, chemicals, oil and gas, metals, electric equipment, pharmaceuticals, foodstuffs, agricultural productsmachinery, vehicles, pharmaceutical products, plastic, semi-finished metal products, meat, fruits and nuts, optical and medical instruments, iron, steel
Imports - partnersNetherlands 12.88%, France 7.61%, China 6.25%, Belgium 6.13%, Italy 5.31%, United Kingdom 4.61%, Austria 4.33%, United States 4.19%, Switzerland 4.3%, Austria 4.1%, Poland 4% (2013 est.)China 16.6%, Germany 12.2%, Ukraine 5.7%, Japan 5%, United States 4.9%, France 4.4%, Italy 4.3% (2012 est.)
Debt - external$5.717 trillion (31 December 2012 est.)
$5.338 trillion (31 December 2011)
$714.2 billion (30 September 2013 est.)
$636.4 billion (31 December 2012 est.)
Exchange rateseuros (EUR) per US dollar -
0.7634 (2013 est.)
0.7752 (2012 est.)
0.755 (2010 est.)
0.7198 (2009 est.)
0.6827 (2008 est.)
Russian rubles (RUB) per US dollar -
31.82 (2013 est.)
30.84 (2012 est.)
30.368 (2010 est.)
31.74 (2009)
24.853 (2008)
Fiscal yearcalendar yearcalendar year
Public debt79.9% of GDP (2013 est.)
81% of GDP (2012 est.)
note: general government gross debt is defined in the Maastricht Treaty as consolidated general government gross debt at nominal value, outstanding at the end of the year in the following categories of government liabilities (as defined in ESA95): currency and deposits (AF.2), securities other than shares excluding financial derivatives (AF.3, excluding AF.34), and loans (AF.4); the general government sector comprises the sub-sectors of central government, state government, local government and social security funds; the series are presented as a percentage of GDP and in millions of euro; GDP used as a denominator is the gross domestic product at current market prices; data expressed in national currency are converted into euro using end-of-year exchange rates provided by the European Central Bank
7.9% of GDP (2013 est.)
8% of GDP (2012 est.)
note: data cover general government debt, and includes debt instruments issued (or owned) by government entities other than the treasury; the data include treasury debt held by foreign entities; the data include debt issued by subnational entities, as well as intra-governmental debt; intra-governmental debt consists of treasury borrowings from surpluses in the social funds, such as for retirement, medical care, and unemployment, debt instruments for the social funds are not sold at public auctions
Reserves of foreign exchange and gold$248.9 billion (31 December 2012 est.)
$238.9 billion (31 December 2011 est.)
$515.6 billion (01 December 2013 est.)
$537.6 billion (31 December 2012 est.)
Current Account Balance$257.1 billion (2013 est.)
$238.5 billion (2012 est.)
$74.8 billion (2012 est.)
$71.43 billion (2012 est.)
GDP (official exchange rate)$3.593 trillion (2013 est.)$2.113 trillion (2013 est.)
Stock of direct foreign investment - at home$1.335 trillion (31 December 2013 est.)
$1.307 trillion (31 December 2012 est.)
$552.8 billion (31 December 2013 est.)
$497.8 billion (31 December 2012 est.)
Stock of direct foreign investment - abroad$1.871 trillion (31 December 2013 est.)
$1.788 trillion (31 December 2012 est.)
$439.2 billion (31 December 2013 est.)
$387.2 billion (31 December 2012 est.)
Market value of publicly traded shares$1.486 trillion (31 December 2012 est.)
$1.184 trillion (31 December 2011)
$1.43 trillion (31 December 2010 est.)
$874.7 billion (31 December 2012 est.)
$796.4 billion (31 December 2011)
$1.005 trillion (31 December 2010 est.)
Central bank discount rate0.75% (31 December 2013)
1.5% (31 December 2010)
note: this is the European Central Bank's rate on the marginal lending facility, which offers overnight credit to banks in the euro area
8.25% (31 December 2012 est.)
8% (31 December 2011)
note: this is the so-called refinancing rate, but in Russia banks do not get refinancing at this rate; this is a reference rate used primarily for fiscal purposes
Commercial bank prime lending rate2.8% (31 December 2013 est.)
3.07% (31 December 2012 est.)
9.3% (31 December 2013 est.)
9.1% (31 December 2012 est.)
Stock of domestic credit$4.457 trillion (31 December 2013 est.)
$4.277 trillion (31 December 2012 est.)
$947 billion (31 December 2013 est.)
$922.6 billion (31 December 2012 est.)
Stock of narrow money$2.158 trillion (31 December 2013 est.)
$2.025 trillion (31 December 2012 est.)
note: see entry for the European Union for money supply in the euro area; the European Central Bank (ECB) controls monetary policy for the 17 members of the Economic and Monetary Union (EMU); individual members of the EMU do not control the quantity of money circulating within their own borders
$452.8 billion (31 December 2012 est.)
$399.3 billion (31 December 2011 est.)
Stock of broad money$4.551 trillion (31 December 2013 est.)
$4.342 trillion (31 December 2012 est.)
$1.061 trillion (31 December 2012 est.)
$893.1 billion (31 December 2011 est.)
Taxes and other revenues45.3% of GDP (2013 est.)20.7% of GDP (2013 est.)
Budget surplus (+) or deficit (-)0.1% of GDP (2013 est.)-0.5% of GDP (2013 est.)
Unemployment, youth ages 15-24total: 8.1%
male: 8.8%
female: 7.4% (2012)
total: 14.8%
male: 14.5%
female: 15.1% (2012)
GDP - composition, by end usehousehold consumption: 57.6%
government consumption: 19.4%
investment in fixed capital: 17.5%
investment in inventories: 0.1%
exports of goods and services: 49.5%
imports of goods and services: -44.1%
(2013 est.)
household consumption: 51.3%
government consumption: 18.8%
investment in fixed capital: 22%
investment in inventories: 1.4%
exports of goods and services: 29.6%
imports of goods and services: -23%
(2013 est.)
Gross national saving24.7% of GDP (2013 est.)
24.3% of GDP (2012 est.)
24.4% of GDP (2011 est.)
28.3% of GDP (2013 est.)
29.5% of GDP (2012 est.)
30.6% of GDP (2011 est.)

Source: CIA Factbook